Question: which of the following is correct? a. a firms bond coupon rate represents its cost of debt b. a firms stock return represents its cost

which of the following is correct?

a. a firms bond coupon rate represents its cost of debt

b. a firms stock return represents its cost of equity

c. real options are very hard to value so useless for investment decisions

d. when estimating equity risk we use sample disctribution to calculate return volatility

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